Events

Extending Pension Coverage to Informal Sector Workers in Africa

May 29-31, 2019

Cotonou, Benin

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The World Bank, in collaboration with the ARCH coordination unit in Benin is organizing a workshop on « Extending Pension Coverage to Informal Sector Workers in Africa » in Cotonou during May 29-31, 2019.  The coverage of pension systems in the region continues to be limited to the small segment of people in the formal sector who can afford to pay contributions to the existing pension systems to save for retirement. As a result, extending pension coverage to the large informal sector remains a challenge in Africa. Informality poses some distinctive issues in providing retirement income that cannot be addressed merely by extending conventional pension systems to these workers. Different solutions are needed to tackle the unique characteristics of this group.

An increasing number of governments in the region are examining initiatives to extend pension coverage to informal sector workers. The objective of this workshop is to bring together government stakeholders and regional institutions to promote an open discussion about extending pension coverage to the informal sector.

The workshop will bring together government officials from pension institutions, ministries and supervisory agencies from fourteen countries (Benin, Côte d'Ivoire, Ghana, Ethiopia, India, Kenya, Liberia, Namibia, Nigeria, Rwanda, Senegal, Sierra Leone, South Africa and Uganda) as well as representatives of regional supervisory organizations in West Africa, (CIPRES: Inter-African Confederation of Social Welfare, and CREPMF: Regional Council of Public Savings and Financial Markets).

The Social Protection and Jobs team of the World Bank wishes to recognize the generous award of a grant from the World Bank’s Rapid Social Response Trust Fund Program, which is supported by the Russian Federation, United Kingdom, Norway, Sweden, Australia, and Denmark, without which this event would not have been possible.

  • The coverage of pension systems in the Africa region continues to be limited to the small segment of people in the formal sector who can afford to pay contributions to the existing pension systems to save for retirement. As a result, extending pension coverage to the large informal sector remains a challenge in Africa. Expanding coverage to a larger group of workers is especially important because the elderly is now often cared for by their children. As the children move to cities, their ties to the elderly and home villages weaken. As a result, the elderly will be  left behind with fewer resources.

    Informality poses some distinctive issues in providing retirement income that cannot be addressed merely by extending conventional pension systems to these workers. Different solutions are needed to tackle the unique characteristics of this group. Informal sector is heterogenous. While some workers may have the potential to save for old age, others may not have the means to defer consumption without significant subsidies.  Even when they can save, their incomes are not sufficient and regular to participate in traditional contributory schemes. To respond to the distinctive characteristics of informal sector workers, different solutions supported by modern technology are needed.

    An increasing number of governments in the region are examining initiatives to extend pension coverage to informal sector workers. The objective of this workshop is to bring together government stakeholders and regional institutions to promote an open discussion about extending pension coverage to the informal sector.

    The workshop will bring together government officials from pension institutions, ministries and supervisory agencies from twelve countries and two regional institutions (Benin, Côte d'Ivoire, Ghana, Ethiopia, Kenya, Liberia, Namibia, Nigeria, Rwanda, Senegal, Sierra Leone and Uganda) as well as representatives of regional the supervisory organizations in West Africa (CIPRES: Inter-African Confederation of Social Welfare, and CREPMF: Regional Council of Public Savings and Financial Markets).

  • Presentations can be accessed by clicking the speaker’s name. 

     

    8:30-9:00       

    Registration

    9:00-9:30

    Introduction of Participants & Overview of Agenda//Logistics

    Venant Quenum -ARCH, Azedine Ouerghi, Melis Guven, Khurshid Noorwalla-Sylvie do Rego

    9:30-10:00

    Session 1: Setting the Stage

     

    Existing Contributory Pension Schemes in the Region

    and Characteristics of the Informal Sector

    Speaker: Melis Guven (15 minutes)

     

    Discussion: (15 minutes)

    10:00-10:30

    Session 2: Empirical Analysis on Informal Sector: Ability to Save and Incentive Mechanisms

     

    Country Studies: Benin, Kenya, Uganda

    Speaker: Clement Joubert, World Bank (30 minutes)

     

    10:30-10:45

    Coffee Break

    10:45-11:10

    Session 2-continued: Empirical Analysis on Informal Sector: Ability to Save and Incentive Mechanisms

     

    Incentives to Encourage Participation          

    Speaker: Fiona Stewart, World Bank (10 minutes)

               

    Discussion: (15 minutes)

    11:10-12:50

    Session 3: Country Experiences in Extending Coverage (Benin, Kenya, Uganda)

    Kenya-Initiatives in Kenya and Regulators Role (40 minutes)

    Speakers: Rose Kwena, RBA (10 minutes)

                    Dominic Muindi, MBAO Scheme (10 minutes)

                    Kumar Khamrai, MBAO Scheme (10 minutes)

                    Millicent Akinyi Awiti, NSSF (10 minutes)

                                                       

    Uganda- Initiatives in Uganda and Regulators Role (20 minutes)

    Speaker: Hassan Nakabaale, URBRA

     

    Benin -ARCH Project and Pensions Pillar (20 minutes)

    Speaker: Damien Mededji, Benin ARCH Project Coordination Unit

     

    Moderator: Fiona Stewart

    Discussion: (20 minutes)

    12:50-14:00

    Lunch

     

    14:00 – 14:50

    Session 4: Investment Policy, Regulation and Governance of Informal Sector Pension Schemes

     

    Overview of Principles on Regulation and Governance

    Speaker: Fiona Stewart, World Bank (15 minutes)

                                       

    Role of Regional Supervisory Institutions (20 minutes)

    Speaker: Dramane Diarra, CREPMF

     

    Discussion: (15 minutes)

    15:00-15:30      

     

    Opening Ceremony

    Hon. Minister Abdoulaye Bio Tchané, Minister of State for Planning and Development

    Katrina Sharkey, World Bank Country Manager for Benin

    15:30-16:15

    Session 5: Extending Health Insurance Coverage

    Overview of Principles and International Experience

    Speaker: Benoit Mathivet, World Bank (15 minutes)

     

    Rwanda: Community Based Health Insurance (CBHI)

    Speaker: Alexis Rulisa, RSSB (20 minutes)

     

    Moderator: Azedine Ouerghi

    Discussion: (10 minutes)

    16:15-16:30         

    Coffee Break

    16:30-17:30

    Ghana- National Health Insurance Scheme

    Speaker: Oti Frempong, NHIS (20 minutes)

     

    Benin- Universal Health Insurance under ARCH Project

    Speaker Dr. Venant Quenum, ARCH Project Coordination Unit (20 minutes)

     

    Moderator: Azedine Ouerghi

    Discussion: (15 minutes)

    17:30-18:00

    Session 6: Country Experiences in Extending Coverage (India)

     

    India: Informal Sector Initiatives

    Speaker: Gautam Bhardwaj, Pinbox solutions (20 minutes)

     

    Moderator: Ernesto Brodersohn  

    Discussion: (10 minutes)

  • Presentations can be accessed by clicking the speaker's name. 

    8:30-10:15

    Session 7: Country Experiences in Extending Coverage (Ghana, Rwanda, Nigeria)

     

    Ghana: Initiatives in Ghana and Regulator’s Role

    Speakers: Laurette Otchere, SSNIT (15 minutes)

                    Roland Kwabena Avenya-Addico, NPRA (15 minutes)

     

    Rwanda: Ejo Heza Scheme

    Speaker: Herbert Asiimwe, RSSB/MINECOFIN (25 minutes)

     

    Nigeria: The Micro Pension Plan

    Speaker: Peter Aghahowa Osamuede, Nigeria Pension Commission (NPC) (20 minutes)

     

    Moderator: Azedine Ouerghi

    Discussion: (30 minutes)

    10:15-11:00

    Session 8: Role of Identification Systems in Extending Pension Coverage

     

    Foundational ID systems in Africa and their Role in Extending Pension Coverage

    Speaker: Ernesto Brodersohn, World Bank (15 minutes)

     

    Benin:  ID System Project

    Speaker: Jean Ahalou (Benin ANIP) (20 minutes)

     

    Discussion: (10 minutes)

    11:00-11:30

    Coffee Break

    11:30-12:30

    Session 9: Country Experiences in Extending Coverage (Cote d’Ivoire, Senegal)

     

    Cote d’Ivoire: Informal Sector Pension Coverage Initiative in Cote d’Ivoire

    Speaker: Dibi Serge Pacome, CNPS (20 minutes)

     

    Senegal: Initiative in Senegal

    Speaker: Papa Cheikh Seck, IPRES (20 minutes)

     

    Discussion: (20 minutes)

    12:30-13:00

    Session 10: Role of CIPRES in Extending Coverage to Informal Sector Workers

     

    Speaker: Parfait Zozan Kaneoulou, CIPRES (20 minutes)

     

    Discussion: (10 minutes)

    13:00-14:30

    Lunch

     

    14:30-16:00

    Session 11: Re-imagining Social Protection: Leveraging Disruptive Technologies to Develop Regional, Flexible Benefits Platforms in West Africa

     

    Overview of the World Bank Initiative (15 minutes)

    Speakers: Melis Guven and Ernesto Brodersohn, World Bank

    Discussion: (15 minutes)

     

    Existing Tech Innovations

    Speaker: Tyron Focuhe, Nobuntu, South Africa (20 minutes)

     

    Speaker: Gautam Bhardwaj, Pinbox Solutions, India (20 minutes)

     

    Moderator: Claude Borna, Sèmè City, Benin

    Discussion: (20 minutes)

    16:00-16:30

    Coffee Break

    16:30-17:30

    Session 11-continued: Re-imagining Social Protection: Leveraging Disruptive Technologies to Develop Regional, Flexible Benefits Platforms in West Africa

     

    Speaker: Adam Grunewald, LYNK, Kenya (20 minutes)

     

    Discussion: (40 minutes)

  • Presentations can be accessed by clicking the speaker's name. 

    9:00-10:15

    Session 12: Main Principles of Informal Sector Pension Schemes

     

    Overview of Main Principles

    Speaker: Melis Guven, World Bank (25 minutes)

     

    Institutional Infrastructure Needs and Use of Technology (20 minutes)

    Speaker: Ernesto Brodersohn, World Bank

     

    Discussion: (30 minutes)

    10:15 -10:45

    Coffee Break

    10:45-11:30

    Closing Session: Reflections from Participants

     

    Moderators: Azedine Ouerghi -Melis Guven

     

    Discussion: (30 minutes)

    12:00-13:30

    Lunch